Sun International (SUI) H1 2026 Pre Recorded earnings summary

Executive summary

• Revenue grew 7.4% year-over-year in H1 2026, reaching the upper end of expectations, driven by land-based casinos returning to growth and Sunbet's 35%+ surge.

• Interim dividend increased by 7.6% to ZAR 1.85 (185 cents) per share, reflecting strong cash generation and confidence in long-term prospects.

• Productivity initiatives and capability-building programs are underway, with 150 key appointments in six months.

• Strategic investments in technology, marketing, and customer acquisition supported growth, with significant progress in digital transformation and omnichannel capabilities.

• The group is executing a five-year value creation plan, with early evidence of operational improvements and value creation initiatives delivering tangible results.

Financial highlights

• Group revenue grew 7.4% year-over-year in H1 2026; group income rose to R6.58 billion, up 6.4%.

• Adjusted EBITDA grew 2% to approximately ZAR 1.6 billion; adjusted EBITDA margin at 24.1%, down 1.3 percentage points due to investment and inflation.

• Adjusted headline earnings per share increased 7.9% to 247 cents.

• Sunbet revenue rose 35.5% to ZAR 1.2 billion, with adjusted EBITDA up 42.1% to ZAR 415 million.

• Free cash flow conversion at 47.1%, below the 55%-60% target due to elevated capex.

Outlook and guidance

• Second half of 2026 started strongly, with revenue growth ahead of 6%-8% guidance.

• Margin improvement and earnings growth expected as productivity initiatives take effect from 2027.

• Focus remains on digital leadership, operational efficiency, and sustainable long-term value creation.

• Confident in delivering long-term economic goals with strong leadership and disciplined capital allocation.